Why We Can’t Approve 100% Tariff Increase – FG Warns Telcos

The Minister of Communications, Innovation, and Digital Economy, Bosun Tijani, has clarified that the Federal Government will not approve a 100% increase in telecom tariffs despite rising operational costs faced by service providers.....KINDLY READ THE FULL STORY HERE▶

Telecom operators have consistently called for tariff adjustments, citing inflation, naira devaluation, and escalating operational expenses.

However, speaking on Channels Television’s Politics Today, Tijani acknowledged the need for a tariff review but emphasized that a 100% hike is unacceptable.

“We have made it clear that a 100% increase is off the table,” Tijani stated. “While the companies argue this is essential for sector stability, we believe it would harm consumers.”

He proposed a more realistic adjustment range of 30% to 60%.

The Nigerian Communications Commission (NCC) is still deliberating on the exact figure, striving to balance the sustainability of the industry with its economic impact on citizens.

Tijani also stressed the importance of maintaining affordability in a sector critical to the country’s economic growth. He added that telecom operators must continue upgrading their infrastructure to meet growing consumer expectations.

During a separate interview, MTN Nigeria’s CEO, Karl Toriola, revealed that telecom operators support a 100% hike but understand the government’s concern for economic pressures on consumers.

“We need an adjustment of about 100%, but the government is mindful of the economic pressures on consumers,” Toriola said on Channels Television’s Sunrise Daily.

He expressed optimism about a phased adjustment approach to stabilize the sector over time.

Toriola pointed out that, unlike sectors such as aviation and power, the telecom industry has yet to implement a tariff increase despite facing similar economic challenges.